1. ISGF TECHNOLOGY SESSION (Last Mile connectivity in Smart Grid) “Regulatory Perspectives on Distribution Automation” Vijay L Sonavane ME(Elect.) Member(Tech) MERC Mumbai 400 005 Date: 1 st June 2012

2. Power ystem Maharashtra Power System Area :3.08 L Sq. km, 40,615 Villages & 457 Towns, 121 M Citizens Installed capacity: 24000 (+) MW Daily Demand met: 325-375 MU 4 DL, 3 GENCO, 4TRANSCO, 3 JV TRANSCO 22 M Customers (3.4M Ag Pumps) ARR: Rs 60,000 Crores Demand Growth: 8% Dist Losses: MSEDCL: 16.8% & Mumbai Utilities: 7-9.5 % Load shedding free by Dec 2012

3. Existing Grid Operation in Maharashtra Centralized Generation disseminated via a relatively passive limited control Limited two- way communication between utilities & end users Many Slow Analog & Electro Mechanical legacy systems (prone to failures leading to black outs)

4. Thomas Edison & Present Grid System “ He has been dead for more than 75 years, but Thomas Edison- hailed as father of Electric blub- probably could have run the Nation’s modern day Electric Grid- It has not changed much” - Denver Business Journal (Mar. 2007)

5. EA 2003: Mandate for Reforms An Act for taking measures conducive to (1)Development of electricity industry, (2) Promoting competition therein, (3) Protecting interests of consumers (4)Promotion of efficient & environmental friendly policies S 61 (c): “ Commission…. shall be guided by the factors which would encourage competition, efficiency, economical use of resources, good performance & optimum investments”

6. Regulator’s Concern Key Regulatory concepts: – “Prudent” management decisions – “Used & Useful” Technology – “Least cost/Least risk” Investment approval only if it enhances service quality & Reliability/Efficiency Cost Recovery more likely if: – Technology is proven & benefits are certain

7. Example for impact on Tariff (Consider a utility with ABR=Rs 4 PU & 10000 MU sale Rs 87 Cr additional ARR means PU tariff rise 8.7 Ps)

8. Difference in Objectives of Regulators & Innovators Regulators set tariffs based on known cost & proven technology : to protect consumers from tariff shock Regulators are Risk-averse: (strong disliking) “It’s the second mouse that gets the cheese”, first having proved its use. Innovators seek capital to bring new technology to market & reap benefits of being an “early mover”. Innovator: Risk-taker: “It’s the early bird that gets the worm”

9. Key issues in front of Regulators (Agent of “CHANGE”?) What is Distribution Automation? Is Dist Automation helpful for system? Is technology sufficiently mature? Whether DA Investments are prudent? Who should bear “dry hole” risk? Main players of Dist Automation Market: Utilities/ Electricity Consumers/R&D Institutions/ Equipment Vendors & System integrators/ & REGULATORS

10. Distribution Automation (IEEE Definition) “A system that enables an electric utility to monitor, coordinate & operate Dist components in a real-time mode from remote locations.’’ WHY AUTOMATION?: – Improvement of Efficiency/ Reliability/ Quality of supply HOW? By Using advanced communication & IT systems Decision making feature of DA distinguishes it from the normal SCADA system. BENEFITS OF AUTOMATION: – Released capacity/ Reduced Dist losses – Increased Service Reliability (Regulatory requirement). – Life Extension of equipments / Effective utilization of Assets

11. Dist Automation Functions MONITORING FUNCTIONS: Meter reading/ System & equipment status/ Unusual events CONTROL FUNCTIONS: Switching operations/ Feeder sectionalizers/ Change of settings/ Capacitor bank control /Voltage Regulators/ Protective equipment PROTECTION FUNCTIONS : Over current protection/ Distance protection/ Differential protection Dist Automation Sub-system CATEGORIZATION: Information management/ Reliability management/ Efficiency management/ Voltage & VAR management/Load management/ Power quality management

12. Need for DA in Indian Utilities. T&D losses: 24%. DT failure Rate: 10-15% per year DT failure: Due to non-availability of DT health parameters & its loading conditions. O&M of Dist system: Non-availability of system topological information, current health information of Dist components Lack of use of efficient tools for planning & quick detection of fault & service restoration GOI’s positive step: Restructured Accelerated Power Development & Reforms Program (R-APDRP): Objective to introduce DA with IT solutions for better Management & Control of Dist system.

13. Attributes of Dist Automation Acquire, distribute, Manage, correlate & share large amounts of real-time data & non-operational data Enhance network security of real-time & non-operational data Perform functions of several individual devices by one device (reduce Capex) Utilize modern S/S communication solutions (reduce costs) Support reuse of legacy equipment by communicating with existing devices & adding new functions on integrated devices (reduce Costs) Monitoring of S/S equipment & feeders Implement expandable scalable architecture to meet future physical & functional requirements (reduce life cycle costs )

14. Feeder Automation Dist S/s Automation  Feeder Automation By acquiring data & automating responses on feeder: Reliability to end customer significantly improves Functions: – Voltage & load measurement, – feeder protection, – auto-sectionalizing, auto-restoration, – VOLTAGE/VAR control, – power quality monitoring & auto- restoration (in communications with other equipment) & load shedding.

15. Dist Transformer & other equipment Monitoring Monitor DT load, Oil & winding Temp Check Health of DT using DG Analysis Controlled loading on Xmers under emergencies Reclosers & breakers: Change settings remotely Record energy interrupted by contacts/ Refurbish contact only when necessary Labour & parts savings/ Capacitor switching for voltage & VAR control On Load-tap-changer & Voltage regulator control

16. Regulator’s views: How DA Can Help Dist. System in Maharashtra? 1.Effective Load Management: As Real Time info is available, LM can be effective. DR Scheme can also be implemented. 2.Solar & RE Issues: Wind/Solar power is infirm (can not be predicted). What happens when 20 % homes in a neighbourhood go solar & a cloud passes overhead?: Grids have trouble accommodating that two-way, intermittent flow. With too much solar/RE power: Local grid voltage could rise, Control can be effective through DA 3.Electricity Pilferage by meter tamper & Unauthorized tapping: DA gives real time alert in case of Pilferages.

17. Regulator’s views on DA: Risks High capital costs: Communication network & large hardware costs: Investment approval needed Software integration risk: Establishing Common Standard Interoperability: Comm. Protocol Sharing of Benefits to customers & Utility due to: Loss reduction & efficiency improvements Large scale integrated pilots needed in Metro cities. Only after sharing pilot learning, there can be reduction of risk premium on capital & operating cost levels. Integration of Distributed Gen, RE Gen & Captive Gen IT enablness in Rural area: Communication issues

18. Case Studies: DA Initiatives in Maharashtra (Data Centre & Customer Facilitation Centre in MSEDCL)

19. Current Meter Reading Methods in MSEDCL  CMRI for HT & High value LT Customers  Dom : Low Revenue: Photo Meter Reading  Technology proposed – AMR  Common Frame Work developed  Protocols used: IEC 62056/21  AMR Coverage : Feeder Meters, HT Consumers & DTC Meters& LT Commercial consumers (over 100,000 Customers)  Total Customers: 20 Million (+)

20. GIS Field Survey/ Modem installations 20

21. New Technology initiated in Energy Metering Meters with Infrared Ports: Rural Consumers Meters with Low Power Radio Frequency Modems: Urban Consumers – Frequency : Free 2.4 GHz Global Band at 250kbps – Protocol used for RF Modems IEEE 802.15.4 Standard ZigBee Pre-paid Meters with RF Modules: Online Recharge Common Meter Protocol for Hand Held Units developed Advantage: Single hand held Machine for Different Types of Meters (1/3 PH) & Different Make of Meters 21

22. R-Infra D Case Study Network Focus : State-of-Art Systems State-of-the-Art Dist SCADA (certified ISO 27001) Dist Management System Integrated GIS Remote Substation monitoring Fault Passage Indicator & Relay intelligence – Faster Detection of faulty Section – Enhancing Equipment Life – Reduced voltage fluctuations Leading to a System Reliability of 99.98%

23. TRANSFORMERSWITCHGEARAPFC FPI CAMERA FIRE- ALARM A TYPICAL SUB-STATION INTELLIGENT BLACK BOX OIL TEMP. / LEVEL AMR / APFC CONTROL FPI & SWITCHGEAR MGMT. OVERLOAD / PHASE IMBAL FIRE / INTRUDER ALARM DETECT MOTION / CAMERA CONTROL-ROOM Equipment Monitoring System (EMS) (R-IN D) Future – Smart Substation monitoring- Predictive Approach

24. Technology for Meter reading (R-Infra D) NEW METER INSTALLATION METER READING Tamper Evident electronic meter MRI enabled Built-in validations Time < 7 days Mapping on GIS Easy and Quick Reduced errors  Grid Meters / Feeder meters/ DT Meters/ HT Consumers: AMR enabled:  AMR: Load forecasting, EA, LM, Equipment health monitoring/ Value added customer services/ Theft detection module  Near 100% Electronic Meters for LT Consumers  Over 100,000 meters read daily with (accuracy 99.7%)  Meter Reading date reminders Over SMS/On Energy Bill

25. TPC-D Dist Automation System DA in all 17 DIST SS & 238/ 507 Consumer SS (FY 2005) Remote control of all connected DSS & CSS Monitoring of equipment status & analog values Alarms & event logs with time stamping Dynamic network coloring for indicating live & dead network Server level redundancy / work Station at PSCC & zonal control centers. (ML, SAKI, BRVLY, VKRLY, SLSTE, DHRVY) Success rate of remote operations thro’ DAS: 98% Loss of Communication link/ CDMA & Modem related issues Replacement being planed in FY 2013 to cater growing requirements & advanced features (LF/SE/Optimization)

26. DA in BEST Undertaking DT Metering : 87 % of completed. ALSTOM make SCADA at RSS level: WIP At 11 RSS, local level SCADA system is ON. Balance 23: WIP Total DSS: 400 Nos. (RTU: Measurands/ Indications) 115 DSS SCADA equipments Commissioned DA Project: Orders on M/S R.F ARRAYS M/S EASUN RAYROLE Control Centre at Backbay Veej Bhavan & Pathakwadi Communication link is ZIG-BEE wireless 2.44 GHZ with router/repeaters.

27. Distribution System Reliability System Reliability & Customer Satisfaction depends on: No. of momentary & sustained interruptions Duration of interruptions No. of Customers interrupted Reliable system: Regulatory requirements Need: Maintenance scheduling & Resource allocation Planning systems for future based on Reliability indices. – SAIFI (System Average Interruption Frequency Index) – SAIDI (System Average Interruption Duration Index) – CAIDI (Customer Average Interruption Duration Index) – MAIFI (Momentary Average Interruption Frequency Index)

28. DA & System Reliability DA can increase the System Reliability by Increasing Utilization of Existing Infrastructure: enable more efficient operation of PS, allowing closer control of voltage profiles Contributing to outage prevention & recovery, optimal system performance under changing conditions, & reduced operating costs. Easy Operations & Improved efficiency, management of peak loads via predictive technologies (DR) & communications with equipments: Quick Restoration technologies

29. What is Smart Grid To a….? Meter Engineer: Advanced Metering Infrastructure (AMI) Protection & Control Engineer: Substation & Dist Automation Control Room Operator: Dist & Outage Management Design & Planning Engineer: Asset Management IT Engineer: Challenge of bringing it all together And they all are right!!!!!!!!

30. MERC Smart Grid Coordination Committee (MERC SG-CC) MERC issued DSM Regulations in 2010 & also formulated DSM-CC for speeding up the DSM projects. DSM-CC: Secretary MERC is the Chairman of the Committee, with members from utilities & IIT Mumbai, Experts in field All DSM proposals received from utilities are discussed in detail in DSM-CC & comments on the scheme are sent to the Commission. No DSM scheme is approved unless it is cleared by DSM CC On similar grounds, MERC SG-CC is being formed; with representatives from Utilities (GTD), IIT Mumbai, MERC. First meeting on 12 th June 2012. Special Regulations for SG implementation

31. Let Us Make a SMART beginning towards Smart Grid Operational Improvements: – Metering & Billing/Outage management – Work force management /Reduced losses/ Better Asset Utilization Asset Management : System Planning (Deferment of CAPEX Program) /Improved Maintenance practices DA empowers system operators & provides them unprecedented visibility & control over the system (Efficiency Improvement DA helps in Promoting RE Gen & Captive Gen/ Reducing AT&C losses & Improving System reliability & quality of supply Win-Win Situation: Regulator: to work as catalyst for benefit to customers

32. “If it is to be It is up to me!!” 32 Thank You !! (Contact me: vlsonavane@gmail.com) Utilities/ Consumers/R&D Institutions/ Equipment Vendors & System integrators/ & REGULATORS